Navigating the Singapore Market Readiness Assistance (MRA) Grant: A Comprehensive Guide

Singapore has always committed to supporting the growth of local Singaporean enterprises through various initiatives, programs, and schemes. Historically, the centres International Enterprise Singapore (IE) and SPRING Singapore (SPRING) has been championing this growth. In 2018, the merger of IE and SPRING formed Enterprise Singapore (ESG), which oversees Enterprise Development Grants (EDG), Productivity Solutions Grant (PSG), Market Readiness Assistance (MRA), and more. Then Minister for Trade and Industry S Iswaran said “the goals of capacity building, innovation and international expansion are deeply intertwined and reinforced one another. A company must innovate and deepen its capabilities to successfully expand into the international market. Equally, venturing overseas will itself create the scale, impetus and opportunity for businesses to gain new capabilities and expertise”.

Overview of the MRA grant

The Singapore Market Readiness Assistance (MRA) grant assists SME businesses in entering new overseas markets by defraying the costs related to overseas market promotion, business development and set-up.

Up to 50% of eligible costs for local SMEs. ESG limits support for eligible activities to a maximum of S$100,000 per new market, which may include:

1. Overseas market promotion (capped at S$20,000)
2. Overseas business development (capped at S$50,000)
3. New market set-up (capped at S$30,000)

What is the Market Readiness Assistance (MRA) Grant?

The purpose of the MRA grant is to support Singapore-owned businesses for business development, promotion, and set-up costs when you enter a new foreign market for expansion.

Due to the disruptions caused by the COVID-19 pandemic, authorities implemented enhanced grant support levels for a limited time period. This aims to promote the revitalization of the economy and help Singaporean businesses build greater resilience following the pandemic. From April 1, 2020 to March 31, 2023, the grant covered up to 70% of eligible costs, capped at S$100,000

Currently, from April 1, 2023, to March 31, 2025, the grant covers up to 50% of eligible costs, capped at S$100,000.

Eligibility Criteria for the MRA grant

Speak to us to determine your eligibility especially if you belong to a group of companies.

1. A business entity registered and operating in Singapore.
2. A company in Singapore has at least 30% local equity held directly or indirectly by Singaporean(s) and/or Singapore PR(s), determined by the ultimate individual ownership.
3. New to target overseas market. The company’s annual sales in the target market must not have exceeded S$100,000 in any of the preceding three years.
4. Company has a Group Annual Sales Turnover not exceeding S$100 million OR a Group employment size not exceeding 200 employees.

Eligible Activities of The MRA

MRA grant supports these pre-determined eligible activities covered by the grant. In our experience, a “rejection” is due to obvious discrepancies like starting on projects before application or that certain items are clearly ineligible and thus not covered under the grant.

Application Process for the MRA Grant in Singapore

Step-by-step Guide for Market Readiness Assistance Grant Application Process

Step 1: Choose Your Market

• Pick a new overseas market where your sales haven’t exceeded S$100,000 in the past 3 years.
• You can only apply for one activity in a single overseas market.

Step 2: Choose Your Activity

You need to decide on the specific MRA activity for which you seek funding (Overseas Market Promotion, Overseas Business Development, or Overseas Market Set-up).

Step 3: Gather Required Documents

• Prepare essential documents like the company’s financial statements and vendor/consultant quotes.
• The exact list may vary depending on the chosen activity.

Step 4: Apply on the Business Grants Portal (BGP)

• Use the BGP to fill out the MRA grant application form with a Corppass account.
• ESG typically takes 8-12 weeks to respond to an application and may request clarification during this time.
• They will reject any incomplete applications.

Important: We are not allowed to apply on behalf of applicant companies but we can assist with your advisory and preparation of required documents.

Required Documents for Applying for the MRA grant

The documents you submit affect the speed of approval. Once our documents include everything officers are looking for, there is a higher chance of quick approval without further questions. This is our suggested list of required information and documents:

1. From Client: Confirm your Business Activity on your BizFile before applying

• You will be asked to declare the sector in which you operate, and this will heavily influence your application.

2. From Client: Company’s Financial Statements

• You must upload the past 3 years’ FS in the Business Grant Portal.
• If not audited, the FS must be endorsed by the company’s shareholder/director stated in ACRA.
• If you belong to a corporate group, you will need much more and should consult with us first.

3. From Vendor: Quotation & Proposal

Quotation

• Must be addressed to the client as per the company’s ACRA BizFile
• Should include an itemised cost breakdown
• Should include a detailed scope of services

Proposal

• Include testimonials/credentials of the project team
• Track records of past completed projects
• Expected deliverables for the project

Timeline for the MRA grant

Week 1: It usually takes 1 week for us to finalise our proposals to be MRA-ready.

Week 7 to 13: Due to a large number of applications submitted, it takes 8-12 weeks to process rather than the usual 6-9 weeks.

After Applying for the MRA Grant in Singapore

Step 1: Project Start and Receive & Accept Offer

• Once ESG approves the grant, you must comply with the terms & conditions. If approved, you will receive a Letter of Offer detailing the approved claim amount, conditions, and qualifying period.
• You do not need to wait for approval before starting your project. Once you have submitted your application and declared the desired start date, you can proceed with your project. For example, submission was done on 1 Jan 2024 and you declared to start on 2 Jan 2024 – this is possible too! We usually advise our clients according to each situation to decide on the correct approach. Contact us to find out more!

Important: The offer must be accepted within the specified timeframe. Your entire project should comply with the qualifying period and claim submission deadlines.

Step 2: Audit & Submit A Claim

• Engage an auditor to verify your claim from Enterprise Singapore’s pre-approved list. Audit costs are supported by EnterpriseSG, as per the Letter of Offer.
• You may submit claims via the Business Grant Portal (BGP). MRA Claims are subject to audit.
• Upon approval, the received grant amount will be released within 6-8 weeks.

Submitting Change Requests via the Portal

You can submit change requests for the following changes:

• Project start and end dates
• Extend deadline for claims (you cannot request an extension for the claim deadline once it has passed)
• Increase/Decrease to expenses of the project (including changes in suppliers/consultants, and decreases or increases in items/cost)

You should have the supporting documents or information, including but not limited to your justification, revised quotation, consultants proposals, etc.

Conclusion

MRA grant defrays 50% of costs up to S$100,000 which can be a significant financial boost for your company in the selected market. Remember, you do not need to wait for approval and can start your project without delay after the application, as long as you provide the right submission details. To ensure a higher chance of success, don’t hesitate to outsource your paperwork. This will also help your company in the selected market to achieve the desired market and business matching outcomes.